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Potentially high water saturation does not correlate to low quality oil. It just means that zone is water saturated. If the zones have a good seal the next target may not be water saturated at all but abundant in oil. Lets wait for Sunday night and stop spouting nonsense.
Torok alone has proved 1bn+ barrels before in 2016. This ain’t over by a long shot.
I’m sure this drill has more than one target zone and that you have to drill from the top to the bottom of the well, so I’m sure you can only report each zone as you come across them. Not to mention you tend to get shows before you reach each payzone. Seems all is on track here, we should know more Sunday/Monday as they drill through N4+3 then during the week as we get to the Torok stacked targets.
Degsy, apologies if I just seem to actually understand the sector I’m invested in. How dare I! I think the desperation came from you Friday ramping and pumping, I just see it for what it is here and understand the RNS Just answer me, do the economics stack up to produce low quality oil here on low commercial quantities? Are they any companies that do this? Would it be economical for RMP do this and turn a good long term profit to reinvest? Explain to me how you would play this is no more oil was found if you were CEO Answers on a postcard
Bloody Nora spike you sound desperate are you sure you hold shares in this play......
Maestro no one is disputing that may or may not be the case with horseshoe My point is the fact people are here assuming we will be happy to produce “commercial” oil based on this weeks RNS, yet no one seems to accept the quality is very poor and economics do not stack up to do this That said let’s see what next week brings
Didnt a poster explain to you that the horseshoe find also was water saturated at 4500ft?
I believe it was illiquid
Profit it’s nog just about “commercial” You also have to have good quality There is big difference between crude HIGH quality oil in low commercial QUANTITIES and low GRADE oil in low commercial quantities The oil we have currently is highly water saturated So, if you work out cost of extraction, production, sales, transportation, tax VERSUS income per barrel, you’ll see if not worth it. Again, from the RNS Weak to moderate oil shows were recorded, including fluorescence and crush/cut fluorescence, whilst drilling through this zone; however, initial petrophysical analysis indicates potentially high water saturation Seems some can’t grasp the holistic RNS and are far too selective on “picking points” rather than reading the whole document and how the industry works But I guess you’ll never help some on here I don’t believe there is one company currently producing and selling low grade, low commercial highly water saturated oil. And there’s a reason for that!
No wonder charity and other organizations state 'non profit organizations', hmm
Could RMP become Non profit organization?
Hmm.
That's why RNS was worded with subtle subconscious messages.
Very ambiguous RNS
Thanks harhoo for the concise explanation of commerciality.
Guess some don't understand the word commercial let alone commerciality. One of the meaning for the word
Commercial according to the dictionary is to do anything for profit. Yes profit!
So lower end of commerciality means low profit.
You decide....
End of the day we have a couple more zones, it’s not over imo, just one zone, and maybe a re evaluation on reserves But we won’t know until the next RNS
Sad.and may be worse,I won't try to guess anything,
Haha. Gets better lol Low quality, high saturated water. Oh whoops harhoo doesn’t understand that part. Sadly he can’t see there is a big difference between “low commercial” and “revenue generating production” in the oil exploration and drilling game No more oil, no more well. Really is that simple He will only actually believe if we ever get to the point where the well finds more low commercial grade oil and we get the RNS that the wells been plugged. Only then will he grasp it. Forget the current zone, it’s as good as a duster. Focus on the other zones now
Could you please break this statement down
Since you seem to have a good command in the English language.
Preliminary review of the interval by the operator suggests that the zone in which the shows were encountered is at the lower end of the range required for commerciality; however, further petrophysical analysis is necessary’
That is true last monday, they said we are going to drill to the primary nanushuk targets, here they didnt say toroks.
Moneyhawk
"I find it interesting that Otto haven't asked for a trading halt and haven't released this news yet, while both 88e and RMP have and released news to ASX after that market closed."
Bromarb
"88 Energy listed on ASX and subject to ASX Rules.
Rule 3 Continuous Disclosure is very specific about "material" HC Discoveries.
"Preliminary review of the interval suggests that the zone in which the shows were encountered is at the lower end of the range required for commerciality"
Is that "material" enough?"
garrym79
"The fluid will move in all direction if the permeability and pressure is there.
I have drilled many wells and know the risk in exploration, been on many wells that bear no fruit but usually the company has deep pockets. I also know we have plenty to drill and evaluate deeper and know that only drilling and flow testing will tell. No point in trying to second guess what is down there with the little information we have. If there was an easier method of exploration and stating the caprocks will be holding our fluid in place then we would only drill there. The fluid may be gas or water held in by the caprock or tight permeability but until you drill it is pointless second guessing. Lets hope it is a thick sandstone, high porosity and excellent permeability."
drmaccers
"The forward plan is to continue drilling ahead to target depth ("TD") to test the deeper objectives"
This does not say test the Torok or secondary targets, just deeper objectives. N4 is clearly a deeper objective as indeed is Torok... also they are way ahead of the drilling schedule to even get to N5 let alone N4 and also to have analysed both N5 and N4."
I would agree spike, they should not perf that zone based on "Preliminary review" the deeper (TOROK) however is still unknown although should be by about Monday with the bit currently turning?
Jon, many also seem to keep failing to post the pertinent remainder of that RNS “Weak to moderate oil shows were recorded, including fluorescence and crush/cut fluorescence, whilst drilling through this zone; however, initial petrophysical analysis indicates potentially high water saturation” So it’s not simply about commercially viable, it’s also about the QUALITY Low quality, and low end commerciality hence why, imo, you won’t be producing from that area alone
It would not be the first time that an exploration well yields nothing on the primary target, only to yield results deeper and closer to the source rock :) Unlikely but possible, TOROK sequence 3 looks the best bet.
GL anyone holding.
Think you need to read it again it says oil shows are not good enough to be considered commercial. Stop bulshitting
I'd use something like this for research on Torok.
http://dog.dnr.alaska.gov/Documents/ResourceEvaluation/20180521_DiscovThinking_Decker.pdf
I believe Caelus are a private company so can attach any numbers they want to their acreage. (could be wrong on that) but the numbers they claim are massive to say they have only drilled 2 wells. 6-10bn at smith bay with 38% OIP recovery rate. Seems a tall claim to me.
I'd be happy with close to the 400m we're targeting.
That could be a bad sign but hope im wrong.
Torok alone is very interesting.
Just continue to drill as deep as possible.
No offence, but no wonder the market is broken when "experts" cant read the rns. It clearly stated commercial oil found albeit at lower end. Commercial. It is commercial. Ie they will make a profit. How big we dont know, but people claiming non commercial are either ******ed or playing games. That said im not expecting anything decent but boy would I love it to be.